FREQUENT QUESTIONS

Answers to questions that come up often.

Why use a mortgage broker?

Power of professional negotiating expertise.
One stop convenience for access to numerous mortgage products.
Unbiased knowledgeable advice.
Access to unadvertised rates.
Work for you, not the Bank.

What is the Homebuyers Plan?

The Home Buyers Plan is a federal government program that allows homebuyers to use $25,000.00 for each purchaser from his/her own RRSP.
You must not have owned a principal residence within the last 5 years.
You must intend to occupy your home as a principal residence.
Minimum repayment is 15 equal annual installments. This schedule can be accelerated.
The funds to be withdrawn must have been invested into the RRSP for a minimum of 90 days prior to withdrawal.
You must complete a Form T1036.

Do I qualify for the 5% downpayment program?

The home must be located in Canada and is to be occupied as your principal residence.
You have from your own resources a down payment of at least 5% of the purchase price of the home.
Your mortgage payment must not exceed 32% of your gross household income. This includes payment of principal + interest + property taxes + heat + condo fees (if applicable).
You must be able to cover closing costs equivalent to at least 1.5% of the purchase price.
You meet the lender’s eligibility requirements regarding income, employment and credit worthiness.

What should I expect for closing costs?

Closing costs are approximately 1.5% of the Purchase Price. The following are approximate costs:

Appraisal Fee: $200.00
CMHC FEE (if applicable): $165.00
Survey Certificate (if applicable): $250.00
Home Inspection $250.00
Legal Fees (approx): $750.00
Tax Adjustment (if applicable)
Interest Adjustment (if applicable)
Property Transfer Tax (if applicable)